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YOU are the manager of large automobile dealership who wants to learn more about the effectiveness of various discounts offered to customers over the past 14 months .Following are the average negotiated prices for each month and quantities sold of a basic model (adjusted for various option ) over this period of time .
A) Graph this information on a scatter plot.Estimate the demand equation . What do the regression results indicate about the desirability of discounting price ?Explain
B) What other factors beside price might be included in this equations ? Do you foresee any difficulties in obtaining thees additional data or in cooperating them in the regression analysis?
Explain how the long-run might differ from the short run. In you answer, assume that they also compete with Cisco, IBM, and Google - what is the profit- maximizing price per beverage?
Provide a cost-benefit analysis for a company which has to decide whether to hire more staff or hire temporary workers to meet production.schedules. Determine how managers would use your cost-benefit analysis to make this decision.
The hourly wage rate is $6, hourly rentail rate for capital is $8. The production function I found to be q=10K^.5L^.5 The captital if fixed at 225 hours in the short-run.
Outline a plan that managers in the low-calorie microwaveable food company could follow when selecting pricing strategies for making their products as inelastic as possible. Provide a rationale for your response. 2.Examine the major effects that gove..
Cruz Manufacturing had a very bad year in 2008. For 1st time in its history it operated at a loss. The firm's income statement showed the following results from selling 80,000 units of product:
Setup the Lagrangian and then determine the values of x and y at the minimum level of benefit, given the constraint - What are the maximum benefits
A company has the following short run demand and cost schedule for a particular product: Calculate the total profit or loss this firm would make
Explain what types of biases arise in the different approaches to understanding consumer demand and behavior - explain whythe typical hypothesis that analysts want totest is whether a particular regression coefficient
Assume the market price of sugar is twenty-two cents per pound. If a sugar farmer produces 100,000 pounds, the marginal cost of sugar is 30 cents per pound.
A reserve value is a minimum value set by the auctioneer. If no bidder is willing to pay the reserve price, the item is unsold at a profit of $0 for the auctioneer.
The Manager of your corporation pension fund is compensated based entirely on fund performance; he received over $1.2 million last year.
Sparkling Pipes, Corporation offers professional furnace duct cleaning to home owners in Danville, Illinois. The firm estimates that each additional room of ducts it cleans costs the company $10.
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